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Brinks Report > Blog > Business > India to Raise Ethanol Blending to 27% After Meeting Target 6 Years Early
Business

India to Raise Ethanol Blending to 27% After Meeting Target 6 Years Early

Dolon Mondal
Last updated: July 21, 2025 4:27 pm
Dolon Mondal
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Ethanol blending in petrol is getting a big push in India. The government is now planning to raise the ethanol mix to 27% in petrol. This is happening because India has already met its 20% ethanol blending goal six years early.

This is a big moment for India’s green energy journey. According to sources, a top-level meeting could happen this week to discuss the new 27% target. At the same time, the government has told the Bureau of Indian Standards (BIS) to create clear rules for “E-27” petrol.

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Why Ethanol Blending Matters

Ethanol is a clean fuel made from crops like sugarcane and grains. Blending ethanol with petrol helps lower pollution, saves foreign exchange on oil imports, and supports Indian farmers.

India started focusing on ethanol blending in a big way over the last few years. The original target was to hit 20% blending by 2030, but India managed to achieve it by 2024 — a huge achievement.

Also Read Reliance Q1 Profit Up 76% on Asian Paints Stake Sale, Strong Retail Growth

What’s Next After E20?

The jump to 27% ethanol blending in petrol is the next big step. This will need changes in vehicle engines, fuel pumps, and even storage systems. That’s why BIS has been asked to set new quality standards for the E-27 fuel mix.

Also, the government is looking into blending ethanol with diesel. That could be even more game-changing, especially for transport and agriculture sectors.

Support for Sugar Mills

To help with this, the government launched a scheme in March. It gives support to cooperative sugar mills to turn their plants into multi-feed ethanol units. This means they can make ethanol from other things, not just sugarcane.

This move is not just about fuel. It’s about creating jobs, boosting the rural economy, and reducing India’s oil bill.

India’s Bold Move

India is showing the world that it’s serious about green fuel. While most countries are still struggling with biofuel goals, India is already moving to the next level.

By increasing ethanol blending in petrol, India is cutting pollution, helping farmers, and becoming less dependent on foreign oil. That’s smart, fast, and future-ready.

Also Read Indian Furniture Brand WoodenStreet Plans ₹1,000 Cr Revenue in 3 Years, Eyes IPO and Expansion

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